US suspends funding for a number of programmes in Ukraine

The process of suspending the activities of certain US-funded organisations has begun in Kyiv. This is linked to the temporary halt of aid programmes overseen by the US State Department, according to Financial Times.

First signs of operations ceasing

On Saturday evening, representatives of the major US agency USAID began sending messages to contractors regarding the termination of funding. One such notice instructed the contractor to «немедленно прекратить работу по контракту или заказу USAID/Украина» (immediately cease work under the USAID/Ukraine contract or order). It was also emphasised that activities could only be resumed upon written instruction from the responsible official.

Such decisions affected programmes in critical areas:

• support for schools and hospitals;
• development of economic and energy infrastructure.

Risks for Ukrainian organisations

The director of one non-governmental organisation operating in Kyiv described the situation as potentially «катастрофическую» (catastrophic). The freeze on funding threatens the existence of many NGOs that rely on American grants.

Encouraging signals from Washington

According to FT, US diplomats working in Europe have already sent a request to the State Department asking for the resumption of funding programmes. In their view, these measures are necessary to lift Ukraine out of the 90-day freeze mode.

"На данный момент нет ясности, будет ли запрос полностью или частично одобрен. Однако из Вашингтона поступают обнадеживающие сигналы," (At this point, it is unclear whether the request will be fully or partially approved. However, encouraging signals are coming from Washington,) — it says in an electronic message sent to staff of the Ukrainian branch of USAID.

The significance of USAID for Ukraine

USAID (United States Agency for International Development) plays a key role in providing American aid to Ukraine. Its funding covers a wide range of tasks, including support for social infrastructure and strengthening the country's defence capabilities.